NextEra CEO responds to governor’s concerns over $67B Dominion Energy merger

RICHMOND, Va. — NextEra Energy CEO John Ketchum is standing behind the commitments his company has made to Virginia customers as opposition grows to the proposed $67 billion merger between Dominion Energy and NextEra.

Ketchum defended the deal during NextEra’s third-quarter earnings call, pointing to nearly $2 billion in proposed rate credits currently before the Virginia State Corporation Commission.

“We have almost $2 billion in rate credits in front of the Virginia SCC in our current proposal. That’s by far the most in any transaction of this nature,” Ketchum said.

His comments come as Gov. Abigail Spanberger and SCC staff have raised concerns about the merger as proposed.

Spanberger has called for significant changes before the deal moves forward, including tripling the companies’ proposed bill credits, freezing residential base electricity rates for six years and making stronger commitments to Virginia’s clean energy goals.

Watch previous: Gov. Spanberger urges rate freeze; SCC staff recommends denial of Dominion-NextEra merger

“Let me be clear on that. I have concerns about everything as it relates to this potential merger,” Spanberger said.

During the earnings call, Ketchum was asked how NextEra plans to find common ground with the governor amid that pushback.

Ketchum argued NextEra’s record in renewable energy and battery storage makes the combined company well-positioned to meet Virginia’s clean energy goals, calling its ability to deliver “undeniable.”

“When I look at clean energy, we are the world’s leader in renewables. We are the world’s leader in storage,” Ketchum said. “If we can’t get it done, then I don’t know who can in terms of the Clean Economy Act.”

The opposition extends beyond the governor’s office. Staff for the State Corporation Commission also oppose the proposed merger, citing financial risks associated with the deal.

Watch previous: ‘Moonshot’ demands: SCC staff, governor urge regulators to reject Dominion-NextEra merger as proposed

With an evidentiary hearing approaching in mid-November, Ketchum said NextEra is preparing a formal rebuttal responding to testimony from those challenging the merger.

“Really looking forward to bringing this case forward in front of the commission in mid-November and really looking forward to responding to the intervenor testimony that we saw come in Monday that we are still digesting in a very strong rebuttal that we will file here in a couple weeks,” Ketchum said.

That filing will come ahead of the mid-November evidentiary hearing, where Dominion and NextEra are expected to make their case before state regulators and the commission will hear testimony from intervenors.

The SCC is expected to make a decision on the proposed merger in January.

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